Walgreens misses on revenues, but beats earnings expectations

Walgreens reported mixed earnings Wednesday morning, beating on earnings while missing Wall Street’s revenue target.

The pharmacy and retailer reported adjusted earnings of $1.18 per share against analyst expectations of $1.14 per share. Revenue, however, missed estimates slightly at $29.5 billion versus estimates of $29.7 billion.

“We delivered solid results in the quarter while continuing to make progress in several key areas, including our work to develop long-term strategic relationships and pursue partnership opportunities,” said CEO Stefano Pessina in a release accompanying earnings.

“I’m pleased to report that since the quarter end we achieved our goal set four years ago of at least $1 billion in combined net synergies in fiscal year 2016 related to the strategic combination with Alliance Boots.”

Walgreens also said that its proposed merger with rival pharmacy Rite Aid was “progressing as planned” after a $6 billion bond issuance.

In response, the firm’s stock dipped in pre-market trading. As of 7:33 a.m. ET, shares were down $0.52, or 0.62%, at $83.00.

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